Stable.Report Summary, Jul.2 — Jul.8

Message to Young People From the New General Manager of the Bank for International Settlement: “stop trying to create money”🐵 🙈 🙉General Manager of the BIS: “Glance back into the past and you will see that creating gold or money from nothing has been a regular obsession. It never worked. Even the great physicist Isaac Newton was at one point in his life obsessed by alchemy and the idea of making gold. He was very successful in a number of fields, but in this one he failed. Newton ended up as head of the British Mint. Why? Because he could detect at once if a coin was counterfeit. After he failed in his attempt to make gold, he switched sides and sent counterfeiters to prison. So my message to young people would be: Stop trying to create money!”

A Brief History of Stablecoins (Part 1)🙇‍This piece by BitMEX made the rounds this week. It looks over the history of distributed stablecoins, with a focus on BitShares (BitUSD) and MakerDAO (Dai). It concludes that while a successful stablecoin is likely to represent the holy grail of financial technology, none of the systems examined appear robust enough to scale in a meaningful way.